COMPTROLLER STRINGER ANNOUNCES FOLLOW-UP INVESTIGATION OF ADMINISTRATION FOR CHILDREN’S SERVICES

Comptroller’s Research and Investigations Unit will lead probe 

Inquiry into ACS’ investigations of child abuse comes in response to Zymere Perkins’ death

New York City Comptroller Scott M. Stringer announced that the Research and Investigations Unit of his Audit Bureau will lead a new probe into the City’s Administration for Children’s Services. The Comptroller’s investigators will follow-up on a June 2016 audit, which found the agency conducted shoddy, inconsistent, and incomplete investigations into child abuse. The inquiry will explore whether ACS has acted on any of the key reforms they committed to in June.

Comptroller Stringer’s announcement comes in response to Zymere Perkins’ death earlier this week. Zymere, a six year-old from Harlem, died Monday – and according to media reports, his family had been the focus of a number investigations by City agencies, including ACS.

“This week, our City tragically lost another child – months after ACS pledged to enact critical reforms. This death highlights the precarious situation at this agency, and underscores the need for immediate improvements,” New York City Comptroller Scott M. Stringer said. “The bottom line of this investigation is simple – ACS made promises, and New Yorkers deserve to know if they’ve made progress. With children’s lives on the line, we cannot wait another day for this agency to make fundamental reforms.”

The investigation will focus on whether ACS followed recommendations made in the June 2016 audit, including that ACS:

• Ensure managers and supervisors complete case reviews and conduct them on time, so that children aren’t left in dangerous situations;
• Make sure that case workers perform all key steps of an investigation in response to allegations of abuse – including domestic violence screenings; and

• Clearly distribute uniform policies and procedures to all staff in a timely manner.

“Since 2005, thirty children have died on ACS’ watch, and this week Zymere Perkins’ name joined ones like Nixzmary Brown, Marchella Pierce, and Michael Segarra,” Comptroller Stringer said. “This new probe will once again shine a light on an agency that has for too long operated in the shadows and left our children vulnerable to abuse.”

THERE WERE IMPORTANT VICTORIES FOR BRONX COUNTY IN SEPTEMBER’S DEMOCRATIC PRIMARIES

WHAT YOU SHOULD KNOW
By Senator Rev. Rubén Díaz
District 32 Bronx County, New York

  You should know that on September 13, 2016, Democratic Primaries were held here in Bronx County, and the New York City Board of Elections has finally released the certified results.

It is important for you to know that many interesting things happened during those primaries. Some of these things make us happy and proud, and others are cause for concern.  

For me, personally, I am tickled pink because the residents of the 32nd Senatorial district gave me a tremendous victory of historic proportion. In this 2016 Democratic Primary race, the residents of my district gave me a sweeping victory with 94 percent of their vote.

You should know that here in Bronx County, no one in recent history has ever received a Democratic Primary Election victory with those results.

On the other hand, in General Elections, these very high percentages are expected results when a Democrat is running against a Republican, because Bronx Democrats always vote for Democrats. That is why when 94 percent of Bronx voters choose one Democrat against another Democrat, it is a historic victory!

I am humbled and grateful to my constituents, and very proud of the race we ran, and the mandate I received.

Another one of the great achievements in this past Bronx Primary Election season is that there were no Hispanic candidates pitted against any African American incumbents.

It was noble how Bronx Borough President Ruben Diaz, Jr., Bronx Democratic Party Chair Marcos Crespo, and the Bronx Hispanic leadership did not promote, support nor encourage other Hispanics to challenge any African America incumbents in the Democratic Primary. This is especially noteworthy since there are African American incumbents who represent Bronx districts where the majority of residents are, in fact, Hispanic.

Bravo to Rubencito, Marcos, and the Hispanic Leadership here in Bronx County in their quest for unity!

You should know that it is a concern that many Hispanic incumbents were challenged by African American and non-Hispanic insurgents.

For example, the Chairman of the Bronx Democratic Party, Assemblyman Marcos Crespo was challenged by Mr. William Moore; Assemblyman Luis Sepulveda was challenged by Ms. Pamela Stewart; Assemblywoman Carmen Arroyo was challenged by Mr. Jackson Strong; and New York City Councilman Rafael Salamanca was challenged by Ms. Helen Hines.

Even though all of the Bronx incumbents kept their seats – Marcos Crespo won with 76% of the vote; Luis Sepulveda won with 75% of the vote; Carmen Arroyo won with 67% of the vote; and Rafael Salamanca won with 62% of the vote – there is still reason to be concerned because Hispanic incumbents were subjected to unnecessary spending of resources and energy.

My dear reader, you and I know that we live in the United States of America, where everyone has the right to aspire to elected office, and where no one can be prevented from running for any position of their choice. It is most important to cherish our freedoms, and never strive to prevent another person from running for elected office because of race, gender, religion, nationality, or sexual preference.

America is the country of freedom, but in our quest for unity among different ethnic groups, what the Bronx Hispanic Democratic leadership did by not challenging any African American incumbents has to be recognized.

I would hate to see, in the future, if any members of our Hispanic leadership would join forces to target African American incumbents the way it appears that Hispanics were challenged in this past primary.

If that were to happen, it cannot be called racism, discrimination nor anything else, because it is the freedom we have here in America.

I am Senator Reverend Rubén Díaz, and this is what you should know.

EDITOR'S NOTE:

Congrats to Senator Diaz Sr. on his victory as I said in my political column which appears in the the Bronx Voice newspaper. However the Bronx Democratic County organization has one of, if not the best election lawyer who helps knock off or tie up on the court system candidates who challenge Bronx County incumbents. This challenge phase takes away much valuable resources from the challengers who are not as well known or as financially backed as the incumbents backed by the county organization.

BRAVO to Senator Diaz, but if the good senator was able to get 94 percent of the vote, why is it that those who ran with Senator Diaz Sr. did not do as well as he did. In fact the Bronx Democratic County Leader Assemblyman Marcos Crespo lost 18 percent of the vote Senator Diaz got, Assemblyman Luis Sepulveda lost 19 percent of the vote Senator Diaz got, and incumbent Councilman Rafael Salamanca, (a disciple of Senator Diaz) lost 32 percent of the vote Senator Diaz got.  

My dear Senator you did extremely well, but your disciples lost something in the translation of the vote to them. That makes you strong and them appear to be weak. If the opposition to the Bronx County organization was to unite, then maybe we would see much better elections. After all Democracy is not about how much you won by, but how good the elected officials are for the people who elected them. 

That is what you should know.

Senator Jeff Klein and Assemblyman Mark Gjonaj Host Annual Hispanic Heritage Month

State Senator Jeff Klein and Assemblyman Mark Gjonaj held their Annual Hispanic Heritage Celebration on Saturday at Havana Cafe. Nearly 200 people gathered to enjoy this day of celebration.

“Today we recognize the valuable contributions that Hispanic Americans have made to our community.  Their extraordinary work has enhanced and enriched our country from its earliest days right up through the present time.  Today’s honorees’ steadfast commitment to improving the quality-of-life for our residents is exemplary of true leadership,” said Senator Jeff Klein.

“It was great to celebrate Hispanic Heritage once again with Senator Klein. The honorees greatly exemplify the successes and continuous contributions from the Hispanic community and I am happy to celebrate with them during this month," said Assemblyman Mark Gjonaj.

Congressman-elect Adriano Espaillat, who is the first Dominican American set to be elected to Congress,  delivered the keynote address.

“This celebration of Hispanic Heritage Month gives us the important opportunity to reflect on the contributions Latino and Hispanic Americans have made and look forward to the contributions our young leaders will make as they begin to shape our future. Thank you to Senator Jeff Klein and Assemblyman Mark Gjonaj for bringing so many of us together to honor the rich histories and cultures of Hispanic and Latino Americans,” said State Senator Adriano Espaillat.

Senator Klein and Assemblyman Gjonaj highlighted the contributions of outstanding members of the Hispanic community including: Democratic Nominee for the 31st Senatorial District Honorable Marisol Alcantara; president of 43rd Precinct Community Council; Aurora Carrion; Democratic District Leader of 85th Assembly District; Honorable Antonia Figueroa; Office Manager of Bronx Community Board #9 Maribel Mercado; Community activist and volunteer Candida Rosa;  Board of Director of Shorehaven Homeowners Association and President of Harbour Pointe Condominium Association Nelly Santiago-Rivera.

“Thank you Senator Klein and Assemblyman Gjonaj for the honor as we continue to celebrate Hispanic Heritage Month. As a proud Latina, it is important to me that we continue to celebrate and praise members of our communities that tirelessly contribute to our heritage, culture, and advancement,” said Honorable Marisol Alcantara, Democratic Nominee for the 31st Senatorial District.

“Being Hispanic Heritage Month, I think it is important to recognize people in the community who are not always honored.  It was a great pleasure that Senator Klein and Assemblyman Gjonaj took notice of people that are doing important work for their community.  I thank them,” said Aurora Carrion, president of 43rd Precinct Community Council.

“I am pleased, honored, and most importantly humbled to accept the honor and to be in the presence of so many whom I have long admired and respected.  A very special thank you to Senator Jeff Klein and Assemblyman Mark Gjonaj and to my great friend Marcos Crespo.  A great applause to the other Latina women who were honored as it was a proud day for all of us,” said Honorable Antonia Figueroa, Democratic District Leader of 85th Assembly District.

“I was honored receive this award and I thank Senator Klein who recognized my work.  It was a great day and event,” said Maribel Mercado, Office Manager of Bronx Community Board #9.

News From - Attorney General Eric T. Schneiderman

Reforming The Herbal Supplements Industry

In his office's ongoing work with the herbal supplement industry, the Attorney General reached an agreement with NBTY to implement new quality control measures on their herbal supplement products sold at Walgreens and Walmart nationwide. This settlement will require DNA barcoding and other testing, labeling and manufacturing to help detect allergens and accurately identify each chemical ingredient. Consumers deserve products that are properly labeled, ensuring a product's authenticity and purity. 

Protecting Military Families From Abusive Business Practices

Attorney General Schneiderman reached a settlement this week with USA Discounters to end their unlawful business practices that targeted military, veterans and government servicemembers. The company would hook servicemembers into deceptive loans, false advertising and illegal collection practices. They would also sue servicemembers out of state where they would be unable to defend themselves. Restitution to consumers in New York State is $1.8 million dollars, which will impact approximately 759 New York consumers.

The Attorney General addressed members of the Public Employers Federation on Monday at the organization’s annual convention in Rochester.

Have a question, comment, or complaint? Click here. You can also learn more about the various initiatives of the Attorney General's office by visiting our website at ag.ny.gov. You can also call our General Hotline: 800-771-7755. 

Sat, Oct 1, 4-7 | South Bronx Community Land Trust Re-envisions Abandoned City Building in Midst of Unprecedented Land Grab

Community Envisioning Session Health, Education & the Arts in the Old Lincoln Recovery Building When: Saturday, October 1, 4-7 pm Where: BronxArtsSpace, 305 E. 140th St.

This Saturday, October 1, the South Bronx Community Land Trust will hold the third of three collective envisioning sessions to finalize a community-driven proposal called H.E.ARTS - Health, Education and the Arts in the former Lincoln Recovery Center on East 140th Street. This 28,000 square foot building sits abandoned and ready for use by upwards of 20 South Bronx-based community organizations!. Dinner will be provided.

RSVP

Community videos its visit to abandoned Lincoln Recovery building to begin the envisioning process.

The Mott Haven/Port Morris neighborhood of the South Bronx, a diverse and vibrant community has survived decades of abandonment and neglect resulting in some of the highest rates of asthma, diabetes and obesity in the city, as well as the lowest performing schools. A network of grassroots, faith and neighborhood organizations have been integral in holding the Mott Haven/Port Morris community together with services providing programs targeting health, education and the arts. In recent years, several organizations have lost their space as landlords have raised their rents anticipating a wave of gentrification. These groups present impressive track records of community service and engagement, but lack some of the basic infrastructure such as space, to sustain effective programming. More than five years ago, New York City shuttered Lincoln Recovery Center, a 28,000 square foot building located at 349 E. 140th Street. This historic facility, borne in 1970 from the community activism of courageous clinicians, the Young Lords and the Black Panthers in response to community needs, provided decades of holistic treatment for addiction using acupuncture and Reiki, along with counseling and a variety of other therapeutic and educational services. Now it sits abandoned. We propose to revitalize the space, and WE NEED YOUR THOUGHTS & IDEAS! Please come and give us your input about how to best use this collective space. This will be the third of three envisioning sessions (first was with community organizations, second was with community youth, third will be with the full community.) Organizations already involved with this effort include: Upbeat NYC, Community Connections for Youth, Birthing Project, Mothers on the Move, South Bronx Unite, Rollin Together, Rebel Diaz Arts Collective, Cumpanis, Freedom Community Center, Friends of Brook Park, La Finca del Sur, Families United for Social and Educational Development, Vamos a la Peña del Bronx, Masa, Radical Health, South Bronx Farmers Market, United Playaz of New York, Young Urban Christians & Artists, and MLK Resource Center/SUNY ATTAIN.

MAYOR DE BLASIO ATTENDS AND DELIVERS REMARKS AT THE FUNERAL FOR DEPUTY CHIEF MICHAEL J. FAHY

  We come here today for a solemn purpose, common purpose. We’re all united in grief – all of New York City, all of the members of the FDNY, all of Chief Michael Fahy’s friends, and especially his family. We are united with you.

We’re here for you, Fiona, and your beautiful children. And we’re here for you, Thomas and Mary, who raised Michael so well. We’re here for Michael’s siblings who grew up beside him, learned with him, taught him. We’re here for each other in this time of grief.

We thank Cardinal Dolan, Father Keenan, Father Tierney, we thank everyone at Annunciation for giving us this chance to join together to comfort each other. 

We want to thank today all the men and women of the FDNY who have come here today to offer their respects, and we thank them for protecting us every day.

For a mayor, there is no more solemn duty than to offer our city’s condolences. I offer them to all gathered here today particularly to the family of a fallen hero – because we must understand Michael J. Fahy was a hero.

His chosen work – his life’s work was to protect others, to risk his life, and that was true day-in and day-out. It did not matter what the day brought, his commitment was the same – true of all who choose to put on the uniform, and serve, to be there for the rest of us.

Michael was one of those people who provided a foundation for everything good in our society, and that was the glue to hold us together because he was someone we could look up to everyday.

And what’s so important for us to remember is the choice he made – he expressed that simply and profoundly in a letter he wrote in 1999. At that point, he was a young lawyer. And at that point in his life with all sorts of success ahead, all who know him speak about his talent, his intelligence. There was certainly plenty of opportunity ahead. He could have become wealthy but he felt a different calling. And he wrote in that letter –

“While I enjoyed the study of law I feel that I need a career with a higher, more honorable purpose. I would like to be a New York City Firefighter.”

Those are not just words for Michael, he lived those ideals, he lived up to that vision of a higher, more honorable purpose, and he gave his life for it.

I want to take a moment to speak directly to Michael's children. Cormac, Anna, Michael – I want you to know that we have a few things in common. My father also wore a uniform. He served in the US Army.

Just like you I lost my dad when I was young. I was only just a teenager. But I knew that my father was a hero. And I want you to know that you will carry that knowledge with you every day of your lives. When you’re grown up, decades from now, good times and bad, you will be able to rely on that knowledge that not only was your father a good man, he was a hero.

And it will strengthen you. It may feel hard to believe that now but it will strengthen you. We all will be strengthened by Michael’s example.

When we think of him it will remind us of how good we can be if we follow the highest ideals. Therefore Michael will be a presence in all of our lives. His service to his family, to his city, to his country will never end because it will help us live better lives, to serve others more profoundly.

On behalf of eight-and-a-half million New Yorkers, I offer my deepest condolences to the Fahy family, to the FDNY, to all those who knew and loved Michael so much.

God bless you all.

Contractor Who has No Regard For Community - Exposed

  The one family home that was located at 640 West 238th Street was torn down to make way for an eight story apartment building. This new building is sandwiched in between on one side, four attached townhouses (of which the developer could only buy two), and a six story apartment building on the other side. In order to get the maximum use of the lot the windows on the A line of the six story building have been covered over (at the developers expense) or they would be facing a brick wall.  When built the six story building went to the property line on the A line of the building never thinking that the one family house next door would be torn down for another building to be built. That is exactly what has happened as the developer of the eight story building is going to the property line on the lot. We have seen this happen all to often as greedy developers build taller buildings on sites that tower over the small houses they are next to. 

  On this blog I have chronicled the demolition of the one family house to the current six of eight stories that have been built. I can say as a neighbor of the building going up, and as a former Community Board 8 member that the developer has not been a good neighbor. There is an island which separates West 238th Street starting right in front of 640 West 238th Street. I have put up here photos of how the demolition trucks ran up onto the island, even with one driver smiling on the side of his truck which was sitting partly on the city owned island. 

   As for Community Board 8 the building plans were presented to the board while I was still a member, and my question was - What is going to be the impact to the neighborhood, and where will materials and equipment be stored since the site and street are to small to handle them. CB 8 Land Use Chair Charles Moerdler assured the neighbors that everything would be done or kept on the site of the construction. The developer agreed to that, but knew that he could not as the construction of the eight story building has been one long nightmare to those living around the construction site. 

   I personally have been cursed out by the site supervisor (pictured below) for my complaints to city agencies since the community board was worthless and did nothing. I had to call and write about the shortcutting that was going on, watch as the roadway was being ruined by the heavy metal cleated machinery used to clear the lot, and now the even heavier concrete trucks that deliver to the site. 

   However yesterday was the last straw. As I drove up Independence Avenue I saw the now seven or eight story concrete boom truck turned around over the building I live in. When getting home my daughter said that the boom was over the building and that there was a worker who ran up the fire escape to fix something on the boom, and then ran down the fire escape, which she said scared the hell out of her. Upon hearing this I went downstairs to ask the site supervisor who lied to my face that the boom was never over my building, and that no one had gone up or down my fire escape. To make matters worse as you will see in the other photos he told the boom operator to go down the wrong side of the Island. I asked where was the flag person that is required by law, he said he didn't need one. In the photo of the site supervisor you can also see water that apparently has come from the hydrant to clean at least one concrete truck in the street, and truck tire tracks on the side of the curb since it is a very narrow street. 

Above - You can see the trail of concrete in the street, as well as truck tire marks on the side of the curb in front of the site supervisor who is trying to avoid being photographed.

Below - You can see only since I was at the site that workers are cleaning the street to try to wash away any remnants of concrete left in the street.

Above - I am standing on the sidewalk next to the site supervisor as the concrete boom truck is backing up to down the wrong side of the island into oncoming traffic with no flag person to direct it.

Below - As you can see a worker rushes to halt the concrete boom truck as it is backing up right where I am standing. There was no worker was helping this extremely large truck back up, and the site supervisor did nothing.

It appears that the concrete boom truck was able to go down the right side of the island after all. Look at the condition of the street from all the heavy demolition and construction vehicles. 

Gary Hirst, Former President And Chairman Of The Board Of Gerova Financial Group, Found Guilty Of Defrauding Shareholders

   Preet Bharara, the United States Attorney for the Southern District of New York, announced today that GARY HIRST, former president and chairman of the board of Gerova Financial Group, Ltd. (“Gerova”), a publicly traded company listed on the New York Stock Exchange, was found guilty of defrauding the shareholders of that company by secretly giving away nearly $72 million of company stock to himself and his co-conspirators for no legitimate business purpose.  HIRST was convicted after a two-week trial before U.S. District Judge P. Kevin Castel. 

U.S. Attorney Preet Bharara said:  “As the jury found today after a two-week trial, Gary Hirst conspired to commit securities and wire fraud by having Gerova issue more than $70 million worth of shares for no legitimate business purpose and by hiding his and others’ control of those shares.  As a result of the manipulation of Gerova’s stock price, Hirst personally reaped more than $2.6 million in illegal profits.”

According to the allegations contained in the Indictment as well as the evidence presented during trial[1]:

From 2009 to 2011, GARY HIRST, along with his co-conspirators Jason Galanis, John Galanis, Jared Galanis, Derek Galanis, Ymer Shahini, and Gavin Hamels, engaged in a scheme to defraud the shareholders of Gerova, and the investing public, by issuing shares of Gerova stock for no legitimate business purpose and by effecting securities transactions in Gerova stock for the purpose of conferring millions of dollars of undisclosed remuneration on HIRST and his co-conspirators.

As a part of the scheme to defraud, GARY HIRST and Jason Galanis obtained sufficient control over Gerova to be able to cause Gerova to enter into transactions of their own design, and for their benefit, including the issuance of Gerova stock.  Jason Galanis obtained this control without causing himself to be identified as an officer or director of Gerova in order to appear to abide by an SEC-imposed bar which forbade him from holding such positions at publicly traded companies.  Among other means and methods, HIRST caused over 5 million shares of Gerova stock, which represented nearly half the company’s public float and which were intended for HIRST and his co-conspirators’ ultimate benefit, to be issued to and held in the name of Ymer Shahini, who knowingly served as a foreign nominee for the co-conspirators.  HIRST, Jason Galanis, John Galanis, Jared Galanis, Derek Galanis, and Shahini understood that the purpose of the stock grant to Shahini was to disguise the co-conspirators’ true ownership interest in the stock, and to evade the SEC’s regulations for issuing unregistered shares of stock.  

In furtherance of the scheme, HIRST and his co-conspirators created fraudulent, back-dated documents to conceal their theft of the stock and cover their tracks.  Also in furtherance of the scheme, HIRST deliberately misled Gerova’s other officers, including its chief financial officer, and caused Gerova to fail to disclose the stock giveaway in Gerova’s public filings with the SEC.  In a telephone call with Jason Galanis that was recorded by the FBI, HIRST gloated, upon reviewing a draft of one such public filing, “That whole, that whole Shahini thing, I mean, nobody, they totally missed it.  Everybody.”   

At the same time, and as a further part of the scheme to defraud, GARY HIRST’s co-conspirators opened and managed brokerage accounts in the name of Shahini (the “Shahini Accounts”), effected the sale of Gerova stock from the Shahini Accounts, and received and concealed the proceeds, knowing that this activity was designed to conceal from the investing public the fraudulent nature of the co-conspirators’ ownership of and control over the Gerova stock.

Jason Galanis, among others, also fraudulently induced investment advisers, including Gavin Hamels, to purchase shares of Gerova stock in the investment advisers’ client accounts by offering compensation and/or other benefits to the respective investment adviser.  By causing the purchase of Gerova stock at the time, quantity, and/or price of their choosing, the co-conspirators were able to, among other things, effectuate the sale of large quantities of Gerova stock from the Shahini Accounts that the co-conspirators controlled while artificially maintaining the price of Gerova stock through coordinated matched trading.  Such coordinated trading served to manipulate the market for Gerova stock and deceive the investing public. 

As a result, GARY HIRST, Jason Galanis, and their co-conspirators reaped nearly $20 million in profits, including approximately $2.6 million that benefitted HIRST directly.

GARY HIRST, 64, was convicted of one count of conspiracy to commit securities fraud and one count of conspiracy to commit wire fraud, each of which carries a maximum sentence of five years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense; and of one count of securities fraud and one count of wire fraud, each of which carries a maximum sentence of 20 years in prison.  The defendant also faces a maximum fine of $5,000,000 or twice the gross gain or loss from the offense on the securities fraud count and a maximum fine of $250,000 or twice the gross gain or loss from the offense on the wire fraud count.  

Jason Galanis, 46, pled guilty on July 21, 2016 to two counts of conspiracy to commit securities fraud, each of which carries a maximum sentence of five years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense; one count of securities fraud, which carries a maximum sentence of 20 years in prison and a maximum fine of $5,000,000 or twice the gross gain or loss from the offense; and one count of investment adviser fraud, which carries a maximum sentence of five years in prison and a maximum fine of $10,000 or twice the gross gain or loss from the offense. 

John Galanis, 73, pled guilty on July 20, 2016 to one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense; and one count of securities fraud, which carries a maximum sentence of 20 years in prison and a maximum fine of $5,000,000 or twice the gross gain or loss from the offense. 

Jared Galanis, 37, pled guilty to one count of misprision of a felony, which carries a maximum sentence of three years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense.

Gavin Hamels, 40, pled guilty on March 22, 2016, to one count of conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense; one count of securities fraud, which carries a maximum sentence of 20 years in prison and a maximum fine of $5,000,000 or twice the gross gain or loss from the offense; and one count of investment adviser fraud, which carries a maximum sentence of five years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense. 

The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentences for the defendants will be determined by the judge.

Mr. Bharara praised the work of the U.S. Postal Inspection Service and the Federal Bureau of Investigation, and thanked the SEC.